Prime Urban Development India has received an approval for disinvestment of 100% shares held by the company in its wholly owned subsidiary (WOS) - Prime Hometex Industries (India). The company will identify the purchaser, negotiate the terms of sale etc and on transfer of the entire shares, Prime Hometex Industries (India) will cease to be a subsidiary company.
The company is looking to divest its stake in its subsidiary due to depressed conditions in the home textiles market and the company was unable to make further progress in this project. Further, the investment in the said subsidiary was also not remunerative. The board by way of circular resolution at its meeting held on January 11, 2012 has accorded their consent for the same.
Prime Hometex Industries (India) was incorporated in 2006, for pursing the project for manufacturer of Home textile products.
